tv Worldwide Exchange CNBC June 11, 2018 5:00am-6:00am EDT
i'm contessa brewer. it's 5:00 a.m. in the united states and 5:00 p.m. in singapore. we're hours live with president trump going face to face with north korea's kim jong-un. it's an historic first-time meeting between the leaders of these two nations and expecting to hear from the secretary of state at any moment. we'll head there straight live on monday, june 11th, 2018 "worldwide exchange" begins right now. and good morning
welcome to "worldwide exchange." i'm contessa brewer. >> i'm mike santoli. brian sullivan is on assignment today. >> we're looking for a big historic moment this morning this is a live shot in singapore where, as we said, we're waiting for the secretary of state mike pompeo to come out and talk to reporters about what's on tap for this day an historic meeting between president trump and kim jong-un of north korea the first time that the leaders of these two nations will have met. a lot on the table it seems like at this time that the united states is somewhat downplaying expectations i think the president set the tone this morning and saying that he is expecting a lot of excitement in the air. >> exactly high expectations because of this one on one meeting. the results are that we're not expecting breakthroughs but coming also on top of a lot of news over the weekends for markets to catch up on the world is kind of watching.
the u.s. markets and vice versa right now. meantime, let's get a look at the setup of markets ahead of the historic summit. futures actually look pretty mildly to be adding to last week's you see the dow industrials indicated to open up by about 41 points the s&p 500 just above the flat line nasdaq pulling back. that was the relationship last week as well dow outperformed the nasdaq pretty substantially you see treasuries quiet and yields heading higher. 10-year note up 2.96 overseas markets notably quiet to positive markets mostly there as well. you see japan up about half a percent. the hang seng in hong kong up 1/3 of a percent. shanghai backing off half a percent. south korea, you have to take note up 3/4 of a percent ahead of this summit in europe, markets adding to the gains from last week you see more so than in asia italy, take a look there up 2% right there as markets try
to assimilate exactly what's happening with the new leadership in that country there. so pretty much positive markets carrying through from last week across the board broader markets, crude, wti stayg above $65 a barrel down fractionally as is brent at 76.1 natural gas up 2% this morning the dollar also someplace that we often see a reaction. the fed meeting as well as the global events. you see the dollar basically down a little bit against the euro and the -- up against the yen. it seems as if, again, quiet markets. here you have gold hovering just below $1300 mark also down .2 of a percent. >> meanwhile, the countdown is on we're fewer than 15 minutes away with president trump meeting with the leader kim jong-un. the eyes of the world on this historic summit. we want to get right to cnbc's share ri chang live in
singapore. what are you seeing unfold, sherrche chery? >> we're a few minutes drive away from the sum milt yes, as you pointed out, they're both here in singapore that doe mean -- and they didn't hold a summit yet it doesn't mean it's break time for two countries and nuclear negotiators as well as top diplomat in both countries we also saw the american side and the north koreans sitting together in singapore this morning trying to make the last-minute efforts to hammer out more details on the result of the singapore summit that we will likely get tomorrow and, of course, we also saw u.s. secretary of state mike pompeo weighing in on twitter emphasizing once again where washington stands in all of
this the ak crow nikr acronym we're h complete and irreversible denuclearization wee hearing from nbc reports citing two senior white house officials confirming that when the two leaders meet tomorrow on sentosa island, they'll be sitting down one on one. and we don't really have a lot of guidance in terms of duration of that very private meeting and what kind of exchange will they have will there be a very -- just a handshake and what will happen with that first minute of their encounter will be very much interesting to be watching guys, back to you. >> chery, one of the interesting things to point out here is that we're also seeing north korean media in a very unusual move reporting on the movements of their leader, kim jong-un. they reported in an editorial today that this would be a
summit, to solve problems that are areas of common concern and areas to realize there's denuclearization how important is it to have the north korean media addressing that >> reporter: i think it's very much significant in terms of the idea of having the prestige of kim jong-un sitting down with the potus and of course this very much in line with the ideology of self-reliance that drives a lot of state policies in north korea that could appeal to kim jong-un's domestic policy as well he wants to achieve denuclearization, but i would also pay more attention to the idea of a permanent peace making mechanism on the north korean
peninsula that the same piece talked about that's probably what north korea is seeking to achieve here, some kind of promise of political assurances and guarantee for the regime's security. that's what he's worried about all alon >> chery, thank you for keeping tabs on that again, very significant going into this historic meeting we don't know the details of how long this meeting will be, what the setup will look like, who else will be attending the conversation between kim jong-un and donald trump let's bring in scott schneider senior fellow for korea studies. he's with the council on foreign relations. great to talk to you this morning. what does north korea want >> i agree with what was just said they're looking for endurable peace and the trump administration, secretary pompeo has signaled that the trump administration is moving in that
direction. what we haven't yet seen is the specifics of what north korea is going to offer on denuclearization. >>t th point we're waiting to hear from secretary pompeo. we have a live shot of the news nferen where reporters have assembled from all around the world. it seems like there's so much riding on this summit. is there any chance that we get real actionable steps forward towards denuclearization what do you anticipate >> the event has to be accompanied by a process in order to be deemed successful and so i do think that the technical negotiators, ambassador sun kim are working hard to try to figure out what that process looks like. and it really involves also closing the gap on pace and price of denuclearization and that means commensurate steps to
move towards a more normal relationship with north korea. >> there's been differing definitions on what denuclearization means is it not in kim's best efforts to keep this process going, to essentially maintain whatever leverage he might have >> yeah. i think the most interestingabo going to be the question of whether or not the trump administration is going to be able to get some kind of front loaded probably symbolic commitment towards denuke clee ar ryization it's positive that the north korean media is mentioning denuclearization the devil's in the detail and we haven't seen the defition yet. >> the other thing is it was nuclear weapons or the pursuit thereof that got kim jong-un to this meeting on equal footing with donald trump. what does being on this stage with the leader of the united states of america do for his
standing in the free world >> this is essentially the normalization of kim jong-un and north korea on the international stage and of course that carries with it consequences and the challenge is to make sure that we're not normalizing north korea as a nuclear weapons state. president obama said about cuba and iran if something isn't working for 50 years, let's try something new. in this case could trying something new with north korea pay off? >> it could. i mean, i think that's precisely what having this kind of top level meeting is about because kim jong-un is clearly the decision maker and up till now no other president has met with the decision maker in north korea. >> scott snyder of the council on foreign relations you're going to stay with us we're going to continue to monitor the happenings in singapore right now and again waiting for this news conference
with secretary of state mike pompeo sort of setting the stage for what we should ex3ek9 today. >> sure. the entire world is watching today's summit of course perhaps nowhere more closely than china and south korea eunice yoon is standing by and akiko is standing by live in seoul. >> reporter: good morning, mike. we got a statement from moon jae-in an hour ago with bold language calling this a once in a century meeting and an historic milestone that will go from war to peace. in terms of what south korea is looking for, they want to see a grand agreement that will reduce the hostility on the korean peninsula and begin the process of denuclearization. the president making sure to
praise kim and trump for what was strong determination in resolving the issue. >> translator: it is hoped they're making the decision of generously considering each other's demands. i both expect and hope that tomorrow's summit will definitely be successful >> reporter: moon also set realistic expectations saying he doesn't believe this will happen over one to two years but several years in terms of what he said was a cool resolution on the peninsula, but any type of agreement to continue to keep talk would be a win given the tensions that he has seen. we are 35 miles away from the dmz, easily the most heavily watched area he's only been in power.
when he first became president, this was a naive way of looking at things. we have seen a real pivot over the last six months, first starting with moon jae-in's invitation and then followed by that interkorea summit that we saw between the north and south at the end of march. we can say it certainly has given a big boost to the south korean president gaining 70% approval rating here on the ground we're certainly going to be watching all of the pieces here back on the ground. >> akiko, thank you very much from seoul where the stakes are high. >> let's get over to china, too, where cnbc's eunice yoon is live in beijing for us. how much of chinese influence is riding on this summit? what's it like for them, eunice, to be sort of not on the center stage where they've been the primary influence on north korea in the past? >> reporter: well, they aren't on the center stage, as you
said, but at the same time beijing's presence is very much there at the summit. i think the biggest symbol of this is really the image of kim jong-un arriving in singapore on an air china mean on loan from beijing. china has been the economic life linediplomatic ally in many, many decades in the run up to the summit president xi jinping met with the leader four times in a 20-day period. first of all, they have said repeatedly on an official level that they want to see denuclearization, they want to see dialogue in the past couple of hours they're saying they're hoping for a positive result. china and the u.s. have had so
many issues on the table, like trade, like taiwan and the south china sea, so pulling north korea, a regional security concern off that list, could really be within president xi's interest so that's one of the reasons why we're seeing china wants influence over this process. they could feel quite uncomfortable in what they're seeing, at least some of the officials in the halls of power. that's because for a long time, many years, the u.s. has chosen to engage with the north koreans through a completely different process called the six-party talks that would involve china this time not so much. . do you have a sense of what a positive result likes? is it about a peace treaty that would mean the withdrawal of u.s. troops? does it mean shared economic
influence in north korea >> reporter: well, i think that that's probably -- probably all of that, but in terms of a peace treaty, there's been a lot of discussion and speculation that there could be a declaration of the end of the korean war after this summit and that there could be -- potentially we could see the leaders stand up and say that, however, the chinese have been making a very large point saying if you do want to see an end to the korean war, you have to make sure that china's going to be there because from a technical standpoint, a peace treaty would involve the signatory -- the original signatories of the korean armistice. right now the two koreas have a truce so if they would need china there. again, china emphasizing that it's very important for this
progress. >> thanks. we are just getting started on "worldwide exchange. the trade tirade president trump blasting our closest allies in series otweett we have the fallout ahead. we're counting you down before today's historic face-to-face secretary of state mike pomp expected to hold a news conferencen ia couple of minutes. we'll bring that to you live as soon as it begins. stick around, "worldwide exchange" will be right back ort? (cheers) what's it worth to talk to your mom? what's the value of a walk in the woods? the value of capital is to create, not just wealth, but things that matter. morgan stanley
19 minutes after the hour. you're looking live at 5:19 in singapore. we're awaiting the arrival of secretary of state mike pompeo to talk to reporters from all around the globe about what's expected to be an incredible -- it will be an historic meeting setting the stage for what would happen here. the president tried to do that with his tweet he tweeted i'm on my way to singapore where we have a chance to achieve a truly wonderful result for north korea and the world. i know kim jong-un will work hard to do something that's never been done before, peace and pros teperity for his land. i know that this one-time opportunity will note wasted. >> the president does emphasize the possible wealth benefits of some kind of benefit
we'll see if that gets any traction. let's get a check of the markets. the u.s. stock futures were mildly to the up side for most of the morning carrying through the strength of last week. re minimum moves the s&p 500 up just 1% at this hour nasdaq looking to be slightly weaker the w almost 40 points to the up side. treasuries, also pretty steady although 10-year note inches back towards 3% at 2.96 right now. the 30-year at 3.10 br the 10 was not very long ago. we may call this morning how to win friends and alienate allies president trump goes to singapore after having blasted our closest allies in a series of tweets. the president saying fair trade is now to be called fool's trade if it's not reciprocal taking direct aim at canadian prime minister justin trudeau for comments he made after the conclusion of this weekend's g7 summit let me play it. >> i highlighted directly to the
president that canadians did not take it lightly that the u.s. has moved forward with tariffs on our steel and aluminum. particularly that it's based on a national security reason. >> president trump called that very dishonest and weak and it prompted the president to withdraw his support of the g7's joint statement on trade, which then prompted our european allies to come out and both express their support for the canadian prime minister -- >> yeah. >> -- but also to say that they expected more from the united states. >> absolutely. i mean, radically different interpretations not just of what actually happened in the meetings between the president and prime minister trudeau, but also of the trade relationship the u.s. does have a trade surplus with canada and the president is behaving as if we're kind of having our lunch money taken by canada. so it's a little bit of
dissidence i think all the way around. >> last year the president mentioned by name the dairy industry. >> yes. >> he said that our tariffs are in response to his 270% on dairy. he's picking and choosing how to interpret that. >> yeah. right. >> but american farmers definitely feel like there are some canadian -- >> yes. >> -- systems in place that are unfair to them in trying to sell their product there. how is this likely to play out we're not seeing the european markets at all reacting to now what seems to be some instability in the relationship with the united states. >> no. markets in general are kind of waiting until there's actual numbers to put on what they want to price in and, y know, generalize trade tensions and angry rhetoric at least so far has not been enough to upset them meanwhile, still ahead on "worldwide exchange," a big deal bubbling up in the health care space. plus, hawaii on alert. mount kilauea shows no signs of letting up 'lha twel vehe latest when
the first survivor of ais out there.sease and the alzheimer's association is going to make it happen. but we won't get there without you. visit alz.org to join the fight. yourbut as you get older,thing. it naturally begins to change, causing a lack of sharpness, or even trouble with recall. thankfully, the breakthrough in prevagen helps your brain and actually improves memory. the secret is an ingredient originally discovered... in jellyfish. in clinical trials, prevagen has been shown to improve short-term memory. prevagen. the name to remember.
welcome back some of your big individual stock movers today include envision health care sources say kkr is close to a deal to buy them for $5.5 billion for $46 a share. that's a 5% premium to friday's closing price. shares of envision have fallen more than 20% in the past year amid questions about its billing
practices. meantime, blackrock is in talks to buy minority steake in eurizon. and rent-a-center has decided it's no longer for sale. after wrapping up a lengthy review, they say they didn't receive adequate offers. they were pressured to sell by engaged capital which owns 17% of the company. >> nobody wanted to buy at this point? >> that's right. they didn't want the option to buy. still ahead, we're expecting to hear from secretary of state mike pompeo at any minute. he's in singapore setting the stage here for reporters from around the world we'll bring his comments live when "worldwide exchange" returns.
good monday morning. 5:30 on the east coast and 5:30 p.m. in sing ga for where we're awaiting any moment to hear from secretary of state mike pompeo he's in singapore for the summit between president trump and king jong-un. the first time the sitting leaders of these countries ever have met we'll bring you the secretary of state's comments live as soon as they happen. sounding off on trade. the president launching new attacks on canadian prime minister justin trudeau following the g7 summit. wait and see that's the approach on wall
street as they digest the latest turmoil and await the outcome of the singapore summit this is monday, june 11th, 2018, and you're watching "worldwide exchange" on cnbc. good monday morning, welcome to "worldwide exchange." i'm contessa brewer along with mike santoli again, we're waiting for secretary of state mike poeo the world is waiting to hang on every word he'll say setting the staining betwe stage between president trump and kim jong-un. president trump tweeted that he was expecting kim jong-un to do something that has never been done the president tweeted, i look forward to meeting him and have a feeling that this one-time opportunity will not be wasted we're waiting to hear more details of how this will unfold. how long it will be. we know it will take place on an
island just off of singapore, however, we have -- this is fairly unusual for a meeting of this magnitude, no real details about how the logistics will proceed here. >> it all came together pretty quickly and the markets along with the rest of us await secretary of state mike pompeo let's take a look at how they're set up right now they've been holding steady with mild gains last week the s&p 500 was up 1.6% going to add a little bit to that indicated up 3%. dow jones indicated up 54 points nasdaq just about flat after gaining 1% last week treasuries a touch higher. ten year note now at 2.96. the 2-year note at 2.52 ahead of course a fed decision this week over seas in asia. those markets taking things in stride waiting to see how things go the japan market up a half a percent. hang seng and shanghai down half
a percent. in south korea you had some strength up 3/4 of 1%. the g7 summit which was pretty contentious showed modsest gaesn broader markets outside of equities you see the oil markets trying to hang onto the $65 level for wti crude backing off last week. down 1/4 of a% at $65.66 for u.s. crude and brent down a similar amount the dollar is down and gold has been steady as well. it was just mild losses. $1300 an ounce and the whole world is watching today's historic sitdown between president trump and kim jong-un, but getting to this point was no easy task. it's a quick recap of how we got
to today >> we have had direct talks at very high levels, extremely high levels with north korea. >> it was a very substantial change it won't work out, and that's okay it doesn't mean it won't work out over a period of time but it may not work out for june 12th but there's a good chance that we'll have the meeting. >> president trump calling off the meeting with kim jong-un. >> based on the recent statement by north korea, i have decided to terminate the planned summit in singapore on june 12th. >> we'll see what happens. it could be the 12th we're talking to them. they'd very much like to do it we'd like to do it. >> the president saying we are talking to the north koreans that apparently is a change for what was the case up until yesterday. >> so we're looking at june 12th in singapore that hasn't changed. and it's moving along pretty well. >> kim yong chol holding a
personal letter regarding the upcoming summit. >> people will have to travel because you'll be in singapore on june 12th. >> one week preparation don't work, just ask hillary, what happened to her in the debate. i've been preparing for this all my life. >> well, so we saw the sixth nuclear test from a defiant north korea in september of last ye year shortly after that the leader of north korea announced they had become a leader with nuclear missiles that could reach the united states. today june 11th kim jong-un will be on equal footing with the president to see if there is a chance of denuclearization we're waiting for a statement from mike pompeo any minute. as soon as we see him, we'll bring you his comments live. in singapore, the president unleashed on our closest trading partners let's get to kayla tausche who's
live in washington with those details. a lot of backlash this morning to what the president had to say, kayla. >> reporter: he reignited a feud, contessa, among allies that he just left in canada and he did so hours after the g7 cited that president trump withdrew on tariff barriers and steel oversupply canada's prime minister, he said the u.s. tariffs on steel and aluminum were insulting and said that dan would retaliate trump tweeting sunday evening from singapore saying we cannot let our friends or enemies take advantage of the u.s. anymore and that canada taxes u.s. dairy imports of justin, meaning justin trudeau acts hurt when called out white house officials that are often at odds ideologically were coordinated in their defense of the president's u-turn
>> he really kind of stabbed us in the back. he really actually, you know what, he did a great disservice to the whole g7. >> there's a special place in hell for any foreign leader that engages in bad faith diplomacy with president donald j. trump and then tries to stab him in the back on the way out the door. >> of course a spokesperson tells us we're focused ond everything we accomplished at the g7 summit. the prime minister said he hasn't said anything he hasn't said before. >> both france and germany agreed there would be more today. >> kayla, there's this picture
going around the internet. it's gone viral. it shows angela merkel leaning across the table standing with a bevy of other officials and president trump sitting with his arms folded across his chest it sort of ignited a caption contest on social media. national security advisor josh bolton added his own caption that says just another g7 where other countries expect america will always be their bank. the president made it clear today, no more how much of this is just posturing? >> reporter: certainly at this point it's not posturing the tariffs are in place canada and europe said their retaliation would begin on july 1st. from their perspective, they have a couple of weeks where they believe the u.s. might come to the table after the singapore summit to potentially try to work out a new deal. insofar as the u.s. position, they have already imposed these tariffs. they're so angry but to put the
trade concessions in place before the talks concluded, that's unfair. the picture the administration was very happy to share because it shows the president sitting down with all of those leaders flapging him they appear to be seeking the president's -- his -- his word, his permission, whatever they're discussing each government shared a different version. >> kayla, multiple angles on all of this as we fight this trade skirmish on multiple fronts. kayla tausche in washington. thanks for bringing us up to date on that joining us now to talk about the market implications is the global market strategist at jpmorgan nadini, tell us, we were talking
about the summit in singapore between the president and the north korean leader. we were talking about the after shocks of the g7 meeting and of course emerging markets are kind of wobbling right now as we talk about the fed tightening talk about exactly how markets are positioned to absorb all of this >> yes, it's a very big week we have a lot of market-moving events the key thing is remembering what we do know and what we're able to charge out that's things like the fed rate hiking path. we know they're raising rates at a decent clip with expected three to four interest rate hikes. that is going to have some detriment to emerging markets. emerging markets have been a lot more strong or strengthened over the pa several years so there are some that can handle this a bit better some don't have high current debt deficits. they can pay off their debts in
dollar or u.s. currencies based on these higher interest rates that we'll be able to weather the storm better we think about things like the g7 and trade war, that has some detrimental effects on emerging markets and the global trade situation as well. when we talk to investors and we think about how to allocate in portfolios, it's providing the countries, industries and sectors that have strong fundamental values that can weather these storms it's a bit difficult to predict. on the korea front, this is an area in which the results are quite bifurcated a de-escalation of the tensions would be good for markets, would be good for global diplomacy around the world it's very difficult to predict how this is all going to shake out. if that meeting the implications for emerging markets are
investable in our view. >> we don't know what they're going to say this week and perhaps giving a nod to some of the global market turmoil. how much do you think we're going to have to be in suspension -- suspense about how they phrased it? >> that's right. getting inflation to t 2% target we know over the past few years that a few other factors have been woven into that i thk because they have la out that path so clearly that has three but if you move one dot above the median it gets four and the market expectation is aligned in that in many other fed hiking times there have been times when the mark wasy dovish now we are saying it would be difficult to give that
inflation is near or even a little bit higher slightly than the 2% fed target and the key thing that's really ticking off the box is the laborarket. unemployment continuing to fall. the wage growth number in the previous months wage report came up so we've got a bit more justification for the fed on that front. >> now you have press secretary sarah sanders addressing the media in singapore ahead of the summit mike pompeo coming to address this gathering of global reporters. let's listen in. updated events of president trump's summit with chairman kim jong-un. mr. trump said on saturday this is truly a mission of peace. this afternoon the president called prime minister abe of japan and president moon of south korea. earlier today our ambassador, sun kim, led a group to meet
the talkntinue this afternoon even as we sit here now. they're in fact moving quite rapidly. we anticipate they will come to their logical conclusion even more quickly than we had anticipated. before discussing the summit i want to address a report in "the new york times" that suggested that the u.s. team lax the technical expertise on dismantling north korea's weapons program. i want to address that report directly for over three months an interagency group of over 100 experts has met multiple times a week to discuss this they include experts from the military charged with dismantling nuclear weapons, the department of energy including ph.d.s from the doe labs and experts covering north korea the same experts cover north
korea's programs these experts include dozens of ph.d.s who have expertise in nuclear weapons. nuclear, physics, chemistry, biology and other relevant fields on the ground is singapore a person who can cover any -- any suggestion that the u.s. lacks the technical expertise is mistaken north korea has previously confirmed to us its willingness to denuclearize and we are eage to see if those words prove sincere. the fact that our two leaders are sitting down face to face is a sign of the enormous potential to accomplish something that will enormously benefit both of our peoples and the entire
world. president trump believes that king jong-un has an unprecedented opportunity to change the trajectory of our relationship and bring peace and prosperity to his country. we are hopeful this summit will have set the conditions for future productive talks. in light of how many flimsy agreements the united states has made in previous years, this president will ensure that no potential agreement will fail to adequately address the north korean threat. the ultimate objective has not changed. complete and verifiable and irreversible denuclearization of the korean peninsula is the only outcome the united states will accept sanctions will remain. if diplomacy does not move in the right direction, those measures will increase
president trump recognizes kim jong-un's desire for security. the president's expressed his opening to access to foreign investment and other economic opportunity be at this for north korea if they take the right steps. all of the preparations for the summit have come together very nicely the president met this afternoon with minister lee of singapore it was an important opportunity to thank the prime minister of singapore for his partnership in helping make this summit a reality. singapore's home to over 4,000 american companies and is a long standing commercial partner and we thank them for their help in making this summit it is >> the president had a chance to meet with our embassy. for example, tomorrow's summit there will be some 5,000 members of the media from all over the
world that will be covering this historic event president trump is going into this meeting with confidence, a positive attitude, eagerness for real progress. he has made it clear that if kim jong-un denuclearizes, there is a brighter we'll figure out whether kim jong-un truly appreciates this i'm happy to take a couple of questions. >> i wonder if that represents the objective? now we're on the korean peninsula which reflects part of
what the north koreans seek. is that a shift in the mission >> there is no shift in the policy it is the case that we are prepared to make security assurances necessary for the north koreans to denuclearization that is, we're prepared to take actions that will provide them sufficient certainty that they can be comfortable that denuclearization isn't something that adds to insecurity for them >> following about that point, mr. secretary, under the up brel had a of security assurances, would that include removing forces in south korea? >> i'm not going to get into any discussions of the details that we've had to date. i can only say this, we're prepared to take what will be security assurances that are
different, unique, that america has been willing to provide previously we think this is both necessary and appropriate. >> would it be erroneous to assume that's not on the table >> you shouldn't assume that some question you posited has any merit. >> if you hypothesize and i refuse to tell you what's in t you should not draw any conclusions. you should -- there's going to be a lot of work left to do. there's a lot of detail that's go the to be provided. we are not going to conduct these negotiations in the open with the media we'll conduct them between the two parties so we have the opportunity to have a real success here.
[ inaudible ] >> i think the first part of your question is the same question major garrett asked it was a substantive question about what one side or the other may be prepared to do. i'm simply not going to speak to that with respect to the second question, the context for these discussions is radically different than ever before the backdrop against which these
negotiations that president trump has set in a way that is fundamentally different than before the president's made very clear, until such time as we get the economicf is not going to ng, be provided. that's different there was his hypothesis that somewhere along the way the americans would take their foot off for the north and there by be able to change that the discussions that will take place between chairman kim and president trump, will set the framework for the hard work that will follow. it's the case in each of those two countries there are only two people that can make decisions of this magnitude and those two people are going to be sitting in a room together tomorrow.
>> secretary, the president says he'll know within a minute whether kim is serious based on his feel these are obviously incredibly complex nuclear issues that have tens of millions of civilians in the cross hairs. is it wise for the president to be going on his gut? and have you established any specific criteria for the conditions that lead him to walk out tomorrow >> the president's fully prepared for the meeting tomorrow i personally had the opportunity to make sure that he's had a chance to hear lots of different voices, all of the attendant opportunities and risks and that we have put these two letters in the race place president trump has truly lout oud a process here that is fundamentally different than what we've gone forward with before i expect tomorrow will be fundamentally different. that's different than what we've done before.
ludicrous. the united states has been oled before. there's no doubt about it. many presidents previously have signed off on pieces of paper only to find that the north koreans either didn't promise what we thought they had or reneged. the v matters. the v matters. we are going to ensure that we set up a system sufficiently robust that we're able to verify these outcomes and it's only once the v happens that we'll proceed. that's what's been missed before you know, we go back to ragan,ty at the end of the day both countries have to come to have sufficient trust with each other and to do the verification each country needs that we have provided the things we've committed to, the various documents we've signed tomorrow if we sign a document and if we sign subsequent documents. we'll each have to ensure that we do the things, take the actions and follow through
when we do, we'll have a verified deal and if we can get that far, we'll have had an historic change here in southeast asia, north asia, and all around the world. >> we'll take the last question. >> mr. secretary, this morning president trump had harsh words for prime minister trudeau what are you doing with the country's top diplomats, with our country's closest allies in europe and do you agree with the statement made by your colleagues yesterday for the canadian prime minister? >> well, i came here today in singapore to talk about north korea, but i'm happy to talk about work with our european partners as well we wouldn't be in this place, we wouldn't have this historic opportunity without the diplomatic work that's been done by our european partners alo
alongside of us. president trump has led an enormous coalition, those g7 partners who have helped us get to this point. i have every expectation they will do that there are always irritants in relationship i'm confident that relationships between our countries, the united states and the g7 countries will continue to move forward on a strong basis. i'm unconcerned about our capacity to continue to do what we need to do to get the outcome we're looking for in north korea. thank you. >> that's secretary of state mike pompeo there walking off the stage in singapore after addressing reporters around the world setting the scene forex peck tagss for success this is a summit will that set the future managing somewhat the
expectations that there would be a real actionable deal out of this but he also said ths with the north korean delegation happening as we speak are moving rapidly and coming to a logical end. he came out with a really strong statement saying that the united states has more than 100 experts in a working group that are ready and capable of addressing the technical and logistical issues that are needed for any dismantling of north korean nuclear sites. let's get to michelle caruso-cabrera there covering this in great detail he's following up with a scene that the president set, michelle, with optimism for success. >> yeah, he's trying to, one, set the stage that there is going to be some kin outcome from this but at the same time we've heard lengthening of the amount of time before something could finally be done. he did stick very much to what has been u.s. policy on north korea since the administration
of george w. bush, cdid, complete verifiable irreversible denucleatio denuclearization there have been lots of questions, contessa, about whether or nhe united states was willing to move towards a containment. whether they're willing to allow north korea to remain a nuclear power and get rid of the ballistic missiles where could the tolerance come down mike pompeo, the secretary of state, has been very, very consistent you're going to hear this a lot. this is arms control speak, cvid they have absolutely dismantled. how long will that take? does north korea truly want to do that? >> michelle caruso-cabrera in singapore. it will be a busy day for you. thank you for setting the stage here in the united states.
that does it for us on "worldwide exchange. "squawk box" picks up our coverage next. well, you see it there breang news. history in the making. president trump and north korean leader kim jong-un arrive in singapore for a first ever gathering. a live report from the ground is coming up. not the only thing though happening. trade fight. president trump is lashing out at canada and europe following the g7 summit. we'll bring you the 4r5i9est tweets the world we watching to. >> it's monday, june 11th, 20178, and "squawk box" begins right now. live from new york where business never sleeps, this is "squawk box. good morning, everyone welcome to "squawk box" here on